Kospi surges 7% as SK Hynix earnings fuel AI stock rebound
South Korea’s Kospi surged 6.6% on Wednesday as SK Hynix’s strong earnings and a shareholder payout reignited investor appetite for artificial intelligence stocks.
The rally extended to U.S. premarket trading, where Micron Technology and SanDisk each gained 4%.
The gains build on a recovery in the AI sector over the past few days, following weeks of pressure as investors questioned the AI infrastructure buildout.
SK Hynix reported September-quarter operating profit of 83.3 trillion won ($62.5 billion), a sevenfold increase that exceeded analyst forecasts by more than 7%.
Shareholder return plan
The memory chipmaker also announced plans to return another 60 trillion won ($45 billion), through buybacks and dividends during the remainder of the fiscal year.
The results suggest tight memory supplies continue to support chipmakers’ earnings, even as concerns about the cost and funding of AI infrastructure remain a focus for investors.
Supply outlook
SK Hynix said conventional and high-bandwidth memory capacity is sold out through 2029, with shortages expected to persist through at least 2030.
Bitcoin also saw a slight bounce, rising to $81,700.
Related
